Posco Future M, the battery materials subsidiary of steel giant Posco Holdings, announced on Monday that it has signed a memorandum of understanding (MOU) with China’s CNGR Advanced Material to collaborate on a new battery materials project. This strategic partnership also includes CNGR’s Korean subsidiary, Fino, further strengthening the alliance.
The MOU is designed to support Posco Future M’s plans to expand its rechargeable battery cathode material business. Currently, Posco Future M produces cathodes primarily for nickel-cobalt-manganese (NCM) and nickel-cobalt-manganese-aluminum (NCMA) batteries. However, the company aims to broaden its product portfolio by increasing supply for lithium manganese-rich and lithium iron phosphate (LFP) batteries.
LFP batteries have been gaining popularity, especially in energy storage system (ESS) applications, thanks to their cost-effectiveness and superior safety characteristics compared to other battery types. Recognizing this trend, the three companies intend to explore opportunities for establishing a production facility focused on LFP cathode materials to meet growing demand in the ESS market.
Through this collaboration, Posco Future M and its partners hope to leverage their combined expertise and resources to capture a larger share of the rapidly expanding battery materials industry, ultimately supporting the global shift toward cleaner and more sustainable energy solutions.
